Creating Corporate Value Report 2020
Year Ended March 31, 2020

Refreshing the AirRefreshing the Air
Our business is to brighten and enliven the lives of customers with air.
We have focused on niche markets, and reeled in customers while developing productswith the keywords: “understanding through listening, seeing, and using.”
Our company’s strength is the fact that we possess numerous original brands that occupy
a large market share in niche markets, like the deodorizer and air freshener Shoshu-Riki,
the mothproofing agent Mushuda, the deodorizer Dashu-Tan, the dehumidifier Drypet,
and the mothproofing agents for rice bins Kome-Touban.
Presently, our business environment is dramatically changing, as environmental problems
become more serious, the social structure transforms, and globalization progresses,
however, we will advance the establishment of a robust business foundation to cope withsuch changes.
From now on, we will aim to become a globally operating comprehensive air-carebusiness group that seeks synergistic development between society and businessthrough initiatives that will satisfy both the expectations and demands of the society
through our new unique air-care technologies.

Compilation Policy
This report includes the efforts for creating corporate value as an annual report on
the business activities of the S.T. Group. With reference to the requests, opinions,etc. from stakeholders, it includes important issues (financial and non-financial
information) for both stakeholders and the S.T. Group.
[Scope of reporting] See the entire picture of communication tools on page 13.
[Target organizations] The document reports on our company, or the S.T. Group(consolidated), if not mentioned. The “S.T. Group” means the entire S.T. Group,
the “S.T. Group (in Japan)” means S.T. (non-consolidated) and group companies inJapan, and the “S.T. (non-consolidated)” means S.T. Corporation (non-consolidated).

[Target period] April 1, 2019 to March 31, 2020
[Date of issuance] September 2020
[Forward-looking statement] This report contains forward-looking statements
regarding S.T. CORPORATION’s future plans, strategies, and performance. Suchforward-looking statements are based on information available as of the issuanceof this report. Please note that the Company’s actual performance may differ
greatly from forward-looking statements due to the economic situation, businessenvironment, market demand, and foreign currency exchange rate fluctuations in the
future.

Household Gloves

Mothproofing Agents

Dehumidifiers(Market Share: No.2)

23%(Market Share: No.1)(Market Share: No.1)

Disposable Warmers

Deodorizers and Air Fresheners

Deodorizers(Market Share: No.2)(Market Share: No.2)(Market Share: No.1)

54%

16%

42%

25%

82%

The domestic market share was estimated by INTAGE Inc.
(Filtered according to SRI category) (Data from January to December put together, except disposable pocket warmers, for which data from April to March were put together.)Contents
Continuing “From Sowing the Seeds of Growth to its Nurturing” P. 2
Financial and Non-Financial Highlights P. 8

Message P. 4

Business at a Glance P. 10

Systems for Overseeing and Supporting Management P. 6

Sustainability Overview P. 12

Corporate Data / Overview of Communication Tools P. 13

1

Continuing “From Sowing the Seeds of Growth to its Nurturing”

Establishment of a Management Foundation that Is Not Affected by theExternal Environment
The fiscal year ending March 31, 2021 is the final year of the second medium-term management plan.
For this plan, we have been making efforts to increase sales and profits based on the concept of “FromSowing the Seeds of Growth to its Nurturing.” However, in the fiscal year ended March 31, 2020, somechallenges were identified, despite the fact that our mainstay business remained strong. During thisyear, we will address those challenges and try to implement the concept of “From Sowing the Seeds ofGrowth to its Nurturing” again. We will continue investing in growth while maintaining profit levels.

46,99348,26348,35145,95848,627

7.2
5.0

6.5

7.3
7.2

4.5
3.8

2014

Net sales (Millions of yen)

2015

Operating income margin (%)

We changed the accounting standard in the fiscal year ended March, 2017.

2

4.8

2016

Overseas sales ratio (%)

6.2

2017

7.2

2018

100,000

47,78247,546

7.8
7.1

5.9

2019

6.1

2020

Long term3

Message

Now that the Environment Is Drastically Changing, It Is Time for Us to
Grow Further
Review on the Fiscal Year Ended March 31, 2020
In the fiscal year under review, as the second year of the second

Deepening Existing Businesses and Exploring New

medium-term management plan, under the management policy“Brand Value Management,” we continued to focus on growth in

Fields and Markets(1) Further deepening mainstay brandsales and profits based on the concept, “From Sowing the Seeds(2) Exploring new field / new markets

of Growth to its Nurturing.” The impact of the consumption tax hike(3) Constructing a foundation for growth of the thermal

was almost as expected, and our domestic mainstay businesses

care businesssuch as Air Care and Cloth Care were strong. However, due to the(4) Undertaking overseas business structural reform

disposable warmers market stagnating because of the effects of(5) Creating a structure for growtha record-setting mild winter and strategic structure reform of ouroverseas business, we recorded net sales of 47.5 billions of yen(0.5% decrease from the previous year).

(1) “Further deepening mainstay brand” We shall continue

As for profits, we were able to increase sales of high value-added

leveraging the strengths of our mainstay brand to vitalize theproducts in our mainstay business, and reduced costs. We also

market and expand our market share. (2) “Exploring new fields/new

successfully reduced costs associated with the operation of ourmarkets” We shall drive new businesses led by top management.

own factory for the disposable warmers business. Consequently,(3) “Constructing a foundation for growth of the thermal caresales decreased and profit increased, with operating income ofbusiness” We shall strive to expand year-round products that

3.3 billions of yen (19% increase from the previous year), ordinary

will not be affected by seasonal fluctuation risk. (4) “Undertaking

income of 3.3 billions of yen (23% increase from the previous year),overseas business structural reform” We shall review our strategy

and profit attributable to owners of parent of 2.2 billions of yen

from scratch and work on “closeout and creation.” (5) “Creating(25% increase from the previous year).

a structure for growth” We shall continue reforming our profit

The impact of the coronavirus pandemic on our business was

structure and actively investing in research and development for

generally minor, although demand for some products increased.

future growth.

The fiscal year under review can be summarized in the following five
points: (1) sales did not reach the forecasts, (2) the impact of the

Now That the Environment Is Drastically Changing, Ourconsumption tax hike was almost as expected, (3) the disposable

Transformation Leads to Further Growth

warmers market was sluggish due to the mild winter, (4) we began

Continuing from the previous year, the year under review was a year

working on the structural reform of the overseas business, and (5)in which we reaffirmed various challenges. This year, we shall work

the cost to sales ratio improved by changing raw materials andon those challenges and connect the drastic environmental change

specifications and switching to in-house production.

to the “further growth” of our business foundation and sustainablegrowth to conclude the second medium-term management plan.

Initiatives Taken in the Year Ending March 31, 2021

For that, we would appreciate your continued support.

This is the final year of our second medium-term management
plan. While the future outlook remains uncertain, we shall workon the management policy of “Deepening existing businesses
and exploring new fields and markets.” We shall address thechallenges identified in the fiscal year under review and shall takeinitiatives on the following five priority points.
Takako Suzuki
President and Chief Operating Officer (COO)4

5

Systems for Overseeing and Supporting Management

Corporate Governance
We are aiming for the sustainable co-growth of enterprises and society.
We think of corporate governance as a system that supervises ouractivities toward that goals. It is important to develop an environment
for securing the transparency and fairness of management facilitating
active decision making, and disclosing information properly. We
recognize that shareholders, society and the environment entrust us
with valuable managerial resources, and aim to realize the sustainablegrowth of society and the environment and create corporate value inthe medium to long terms, in cooperation with stakeholders, and will
fulfill our accountability.
Development of Corporate Governance System
In June 2004, in order to enhance oversight function of the Board of
Directors and the quality of management and enrich management
practices such as prompt decision-making and agile execution ofoperation, the Company was reorganized into a company with committees(currently company with three committees), which is more transparent
and fair and in which outside directors account for the majority of board
members. In June 2008, a female director was appointed for the first time,and in June 2020, female directors make up 37.5% of the board (twoout of seven executive officers are also woman). In addition, we appoint
outside directors with a wide array of knowledge, experience and skills
such as management, marketing, accounting and legal affairs, etc. (TheCompany was selected as “Diversity Management Selection 100 (2013)”(METI Minister Award).) Since 2015, a board evaluation has been also
conducted on annual basis to improve the effectiveness of the Board.
Remunerations of Directors and Executive Officers
The remunerations of directors and executive officers are designed for
improving corporate value.

Overview of Corporate Governance(Year ended March 31, 2020)

Governance Type

Company with three committees

Number of Board Members

9

Number of Outside Directors

5 (56%)

Number of Independent Outside Directors

4 (Notified as the independent outside directors designated by the Tokyo Stock Exchange)

Board Diversity

3 female directors (33%)

Number of Board Meetings Held per Year

7 times

Average Attendance Rate of Board Meetings

98%

Director’s Term

1 yearChairman and CEO

One person serving as both

Nomination Committee

5 members (3 outside directors; chaired by an outside director)

Audit Committee

4 members (4 outside directors; chaired by an outside director)

Compensation Committee

3 members (2 outside directors; chaired by an outside director)

Corporate Governance Structure
General Meeting of Shareholders
Election/Dismissal

Nomination Committee

Election/Dismissal

Accounting Auditors
Accounting Audit

Board of Directors

Audit Committee(Audit Committee Office)Election/Dismissal

Internal Audit Group

6

Compensation Committee

Representative Executive Officers

Executive Officer Meeting

Executive Officer in Charge

Executive Officer in Charge

Operating Divisions

Group Companies

Board of Directors(As of June 17, 2020)

Takashi Suzuki

Naoto Onzo

Chairman of the Board of Directors

Fuminobu Aruga

Audit
Committee

Compensation
Committee○

Director(Outside Director)◎○

Director(Outside Director) ☆

○○Mitsuko Miyagawa

Director(Outside Director) ☆

○◎Noriyuki Watanabe

Director(Outside Director) ☆
Director

Takashi Suzuki

○

○

○
○

Director

8 directors(Four of whom areoutside directors)

Fuminobu Aruga

5
members4
members

Areas of Executive Officer Responsibility※

3members◎：Chairperson ○：Committee member ※：Holds the concurrent position of executive officer

Responsibilities(As of June 17, 2020)
Name

Representative Executive
Officer, Chairman, CEO

Overall management

Takashi Suzuki※

Representative Executive
Officer, President, COO

Overall management

Takako Suzuki※

Managing Executive Officer

In charge of the Business Management Division, theCorporate Communication Division and the EC Business
Department

Yo Kouzuki

Managing Executive Officer

In charge of the R&D Division, the Manufacturing Division,and the Purchasing Division

Tsukasa Konda

Executive Officer

In charge of the Management Strategy Division, theManagement Control Division, and responsible for
Domestic Group Companies

Kouichi Yoshizawa

Executive Officer

In charge of the Sales Division and the Domestic Sales
Department

Masaaki Shiina

Executive Officer

In charge of the Overseas Business Division and Head ofOverseas Group Companies Management Headquarters

Kaoru Yonemoto※

Kumiko Ishikawa
Kouichi Yoshizawa

Director※

Naoto Onzo

Takako Suzuki

Director

Executive Officers

Name

Chairman of the Boardof Directors◎

Kouichi Yoshizawa

Director(As of June 17, 2020)
Nomination
Committee

Director (Outside Director)

Kumiko Ishikawa

Director

Board Composition

Noriyuki Watanabe

Director (Outside Director)

Takako Suzuki

Director (Outside Director)

Directors

Mitsuko Miyagawa

Director (Outside Director)※※：Holds the concurrent position of director☆ Independent Outside Director

Risk Management and Compliance
For internal control, we promote system development in order tosecure the adequacy of organizational business operation. In orderto accomplish organizational goals effectively, efficiently, and properly,
opinions inside and outside the company are constantly grasped andimprovements are continuously made, while organizing rules andbusiness processes.
We consider that risk control is the most important issue formanagement. We are working to establish a system that can prevent

occurrence of various management risks surrounding the company,
minimize damage in the event that incidents do occur, and to prevent
their reoccurrence.
As for compliance, we observe not only laws and regulations, butalso internal and external rules, ethics, and social norms; fulfill social
requirements and expectations by putting our management philosophy
and codes of conduct into practice; and strive to maintain and improve
the trust of stakeholders.

7

17

18

19

20

16

Net sales*2

18

19

20

Operating income / Operating income margin

1,804
3,374

2,839

1,817
3,481

912

2,342

2,854

3,374

16

20

2,261

2,410

5.9

2,839

3,481

2,854

17

19

7.1

4.8

4.8

2,342

16

18

6.2

5.9

47,54647,782

48,62745,95848,35147,546

20

17

7.2

7.1

6.2

17
16

18
17

19
18

20
19

20

Profit attributable to owners of parent■ Operating income (Millions of yen)
● Operating income margin (%)(Millions of yen)

(Millions of yen)

1,804

912

20

30,011
19,972
21,78630,287
19,701
21,718¥46,944
1,800
565
572
2,061
830
-944

16

30,07617
18
20,213
21,716

3,827¥46,354
1,751
76
659
1,007
931
773

2014

3,535

¥43,580
2,114
786
610
662
992
-897

2013

3,691

2012

3,683

For the YearNet sales*2
Operating income
Profit attributable to owners of parent
R&D expenses
Capital expenditures
Depreciation and amortization
Free cash flow
At Year-End
Total assets
16
17
18
19
20
Total net assets
Number of issued outstanding shares (Thousands)*3

2011

3,688

2,261

2,410

Fiscal Year (Ended March 31)

1,817

2,261

Millions of yen¥46,993
2,131
1,234
564
942
894
2,624

19

32,37020
21,087
21,853

Non-Financial Indicators
CO2 emissions (Tons)*6
Number of employees (People)
Ratio of female directors to total directors (%)
Ratio of outside directors to total directors (%)

37.5

33.34,167
33.3

1,032

948

50.0

952

4.9
2.7
4.0
55.6 55.6
64.9

890

860

1,032

952
3,535

890
3,691

860
3,683

3,688

Financial Indicators
Operating income margin
ROA*4
ROE*5
Equity ratio

948
3,827

%

3,827

3,535

16

7.2

1,804

47,782Financial and Non-Financial Highlights

55.6

33.3

630
12.5
62.5

3.8
0.3
0.4
55.6
63.4

33.3
3,727

647
25.0
50.0

50.0

37.5

3.8
1.9
2.9
55.6 55.6
65.4
33.3
3,93033.3

55.6

33.3

663
30.0
50.0

4.5
4.0
6.1
55.6
63.2

33.3
3,884

760
33.3
55.6
Yen

20

Per Share Information
17 17
18owners
19 of19
20 20
16
18
Profit 16
attributabletoparentNet assets
Dividends
Stock prices*7

16

17
16

18
19
17
18
¥36.03893.74
22
916

20
19

20¥3.48884.45
22
1,025

16

17
18
¥26.01905.84
22
988

19

20
¥56.74936.0622
999

Notes:	1. U.S. dollar amounts are translated from yen for convenience only, at the rate of ¥108.83 = U.S.$1.00, the approximate rate on the Tokyo Foreign Exchange Market on March 31, 2020.
2. Effective from the fiscal year ended March 31, 2017, we have applied the new accounting standards.
3. Number of issued outstanding shares does not include that of treasury shares.
4. ROA = Profit attributable to owners of parent / average total assets for the fiscal year.

8

1

9
9
9

16
16
16

17
17
17

18
18
18

19
19
19

20
20
20

1,032
1,032
1,032

948
948
948

952
952
952

860
860
860

890
890
890

3,827
3,827
3,827

3,535
3,535
3,535

3,691
3,691
3,691

3,683
3,683
3,683

3,688
3,688
3,688

S.T. Group (in Japan)

50.0
50.0
50.0

37.5
37.5
37.5

16
16
16

17
17
17

18
18
18

19
19
19

20
20
20

16
16
16

CO2 emissions*6

17
17
17

18
18
18

19
19
19

16
16
16

20
20
20

Number of employees(Tons)(People)55.6
55.6 55.6
55.6
55.6 55.6
55.6
55.6
55.6
55.6 55.6
55.6

33.3
33.3 33.3
33.3
33.3
33.3 33.3
33.3
33.3 33.3
33.3
33.3

17
17
17

18
18
18

19
19
19

20
20
20

Ratio of outside directors to total directors /Ratio of female directors to total directors● Ratio of outside directors to total directors (%)● Ratio of female directors to total directors (%)

Millions of yen

Thousands of U.S.dollars*1

2015

2016

2017

2018

2019

2020

2020

¥48,263
1,813
892
513
1,486
844
369

¥48,351
2,342
912
536
1,758
1,128
1,857

¥45,958
2,854
1,817
611
608
997
4,529

¥48,627
3,481
2,410
596
1,822
970
835

¥47,782
2,839
1,804
643
3,060
1,109
-119

¥47,546
3,374
2,261
725
3,137
1,487
-47

$436,881

33,78522,60021,851

34,92423,496
21,69938,45825,812
21,877

42,112
29,022
22,063

41,97629,223
22,112

43,27630,13622,152397,645276,907

31,007
20,7786,660
28,823
13,663
-431

%

3.8
2.7
4.2
64.8

4.8
2.7
4.1
65.2

6.2
5.0
7.6
65.3

7.2
6.0
9.0
67.3

5.9
4.3
6.3
68.2

7.1
5.3
7.8
68.5

3,752
859
44.4
55.6

3,688
860
37.5
50.0

3,683
890
33.3
55.6

3,691
952
33.3
55.6

3,535
948
33.3
55.6

3,827
1,032
33.3
55.6
Yen

¥40.831,001.84
22
1,021¥42.01
1,049.58
22
1,114¥83.57
1,148.41
24
1,809¥109.58
1,285.01
31
2,286¥81.66
1,295.38
36
1,892

U.S.dollars¥102.19
1,337.42
36
1,601

$0.94
12.29
0.33
14.71

5. ROE = Profit attributable to owners of parent / average total equity (total net assets - subscription rights - non-controlling interests in consolidated subsidiaries) for the fiscal year.
6. The CO2 emissions from the S.T. Group (in Japan)
7. The stock prices were as of the end of the fiscal years ended March 31.
8. As a result of new accounting standards being applied effective from the fiscal year ended March 31, 2019, the figures since fiscal year 2018 reflect those changes.

9Business at a Glance

Business by Category

Proprietary Brand

Market Share and Rank (Japan)

Air Fresheners

Air CareShoshu-Riki commercial on TV

25%(Market Share: No.2)(Deodorizers and
Air Fresheners)

Deodorizers

82%(Market Share: No.1)

Cloth Care

Mushuda commercial on TV(Mothproofing Agents)

Mothproofing Agents

54%(Market Share: No.1)

ThermalCare

Disposable Warmers(Disposable Warmers)(Market Share: No.2)

16%

Household Gloves

23%

Hand Care(Gloves)(Market Share: No.2)

Humidity
Care

Dehumidifiers(Dehumidifiers)(Market Share: No.1)

Home Care

44
%
44
%
44
%
44
%
44
44%%

Composition of Net Sales

42%
Kome-Touban CM(Cleaners andOther Products)

Sales/YoY

21,079Millions of yen

+1.3%

20
%
20
%
20
%
20
%
20
20%%

9,266

9
%
9
%
9
%
9
%
9
9%%

4,325

12
%
12
%
12
%
12
%
12
12%%

5,758

7
%
7
%
7
%
7
%
7
7%%

3,320

8
%
8
%
8
%
8
%
8
8%%

3,797

Overseas

The ratio of overseas sales is 6%. We strengthen global business as a pillar of growth.

Promoting Capital andBusiness Alliances

We concluded contracts for capital and business tie-ups with FUMAKILLA LIMITED and NS FaFa Japan Co., Ltd.

Development of New
Businesses

Cultivate domestic new field and new market, by utilizing our new unique air-care technologies.

Millions of yen+1.7%

Millions of yen-16.0%

Millions of yen-0.3%

Millions of yen+10.6%

Millions of yen-3.6%

The domestic market share was estimated by INTAGE Inc. (Filtered according to SRI category) (Data from January to December put together, except disposable pocket warmers, for which data from April to March were put together.)10Market Environment

Salient Business Features and Strengths

Overview of Fiscal 2020 and Strategies Going Forward● M ainstay business division accounting for about ● The impact of the consumption tax hike is small. Our high
● The market is growing.
40% of the Company’s total sales. A business that isvalue-added products such as Shoshu-Riki Premium Aroma● High value-added products are showing a growth trend,
expected to experience future growth.
series performed well and sales increased.
with further growth expected by stimulating the market.
●
T

his
divisionowns
uniquebrands,includingourlargest●Continuing to utilize the strengths of our flagship brand● Consumer awareness of disinfection and deodorization
brand Shoshu-Riki, SHALDAN for enjoying morethis year and taking steps to vitalize the market with newis increasing under the influence of the coronavirus
fragrance, and Dashu-Tan, which deodorizes air with the
products.
pandemic.
power of charcoal.
● The market is on a plateau and stable.
● A foundation business rivaling the importance of the ● The impact of the consumption tax hike was as expected.
Air Care category in terms of marketing.
The 2019 spring season was sluggish, but sales in the fall
● With changes in storage styles, responding to diverse
season were strong and increased.
needs will be the key in the future.
● T his category comprises topline brands including
Mushuda and Neopara, which are well recognized for ● A ggressively continuing sales promotion this year andtheir reliability in protecting clothes from moths.
taking steps to cultivate new demand with the proposal ofa new storage style and development of adjacent markets.

● Climate change significantly impacts the market. Difficult ● W inter-based product range. Provide an additional ● Recorded a decrease in sales due to the stagnation of thedisposable warmer market because of the effects of ato differentiate products. Intense market competition.
point-of-sale management role linked to spring andrecord-setting mild winter.
autumn mothproofing agents.
● We anticipate domestic new field and new market which
use thermal technology in the future.
● Possessing disposable warmer brand Onpacks and the ● We will focus on expanding year-round products thatare not affected by climate change by using thermal
On Style brand for protection from cold.
technology.
● April 2019: new factory starts operation, R&D andmanufacturing system was put in place.
● In Japan, both household and industrial-use markets ● An inaugural, enduring division with a history of six ● Sales increased in Japan due to heightened awareness ofare growing. Price competition is intensifying for the
decades together with the Cloth Care category.
the prevention of coronavirus pandemic, while overseas
overseas industrial-use market.
sales were sluggish due to intensifying price competition.
● T his category is comprised of the Family series of
As a result, sales decreased.
household gloves, Modelobe series of industrial-use● In addition to improving work efficiency, proposals for
improved functionality and added value are key points.
gloves and other products. Gloves with reinforced ● Continuing to strengthen and nurture the brand by proposing
fingertips and NBR gloves with good puncture
high value-added products.
resistance have been marketed.
● The market is growing. Difficult to differentiate products. ● This business has consistently led the market since ● S ales increased as a result of overall strong sales ofIntense market competition.
Drypet was first launched in 1981.
disposable products and high value-added sheet products.
● P utting forward value-added products to achieve ● T his category is comprised of the mainstay brand ● This year, we will further focus on high value-added products
decommodification is critical to future growth.
Drypet, as well as other products including Bincho-Tan
and environmentally friendly products to strengthen andDrypet, which offers a deodorizing function together
develop our brand.
with dehumidifying; a solid lineup including refill- andsheet-type products.
● Robust conditions in the niche cleaner and mothproofing ● This business is currently fostering the niche cleaner ● Sales decreased as the sales of MoriLabo was sluggish,
agents for rice bins markets.
market and is coordinating efforts to nurture other new
although sales of Kome-Touban increased as more people
products that are under development.
cook and eat meals at home due to the coronavirus
pandemic.
● I t owns unique products, such as the cleaners
including Senjo-Riki and Ohisamano-Sentaku, and the ● We will endeavor to make inroads into new fields for further
mothproofing agents for rice bins Kome-Touban. It is
growth.
offering household care products under the Yells brand.

We will strategically implement structural reform overseas. We will review our strategy from scratch and work on the restructuring of our overseas business.

Utilizing the fact that the business areas of the three companies are complementary to each other, we will try to improve the development and profitability of the three companies’ businesses.

Bringing MoriLabo into the healthcare market and Air Forest into the BtoB market using Clear Forest technology which incorporates a forest’s functional aroma.

11Sustainability Overview

Social Expectations (Creation of a new market)
Details● Initiatives toward HealthIn recent years, the societal expectations to solve the problems facing
society have increased. We shall engage these problems using our new
unique air-care technologies, which is one of our strengths.

Overview of the Year Ended March 31, 2020 and Strategies Going Forward●< Products>[Ensure healthy lives]
Released our counter-pollen product MoriLabo, which was developed by using
Clear Forest technology that incorporates a forest’s functional aroma.
●< Community>[Sustainable industrialization (employment creation), sustainably managed
forests]
Through the comprehensive collaboration agreement with the Hokkaido
Government, continued promoting the use and raising awareness of Sakhalin fir
and energizing the local industry.

Social Requirements (Sustainability activities)
Details

12

Overview of the Year Ended March 31, 2020 and Strategies Going Forward● Initiatives toward Our Customers
As a manufacturer of daily use products, we believe that our mission is
to make the lives of consumers comfortable while offering products that
ensure the safety and peace of mind of our customers. If, by any chance
we were to lose this sense of trust from consumers, we will have lost thereason to exist in society. Recognizing this fact, we will take initiatives
toward presenting consumers with products that will ensure their safety
and peace of mind.

● [Protecting consumers’ health and safety]
Continued regularly holding meetings of PL Committee that discusses mattersconcerning quality.
● [Fair marketing, factual and unbiased information and fair contractual practices]
Continued providing the products/useful information, quality information, andother information, on its website.
● [Consumer service, support, and complaint and dispute resolution]
In the customer consultation room, we continue to deal with frequently asked
questions, explanations on how to use products, and complaints about products.
● [Consumer data protection and privacy]
To develop a management system in accordance with the Act on the Protection of
Personal Information, and conduct inspection on a regular basis.

● Initiatives toward Our Employees
Since 2015, society has changed drastically in pursuit of becoming a “CO2and disparity free society.” If we cannot procure resourceful personnel
that can respond to this change, there is a possibility that we might not
be able to continue producing corporate value. Recognizing this fact, we
will take initiatives toward the procurement and nurturing of personnel.

● [Employment and employment relationship]
In order to reduce long working hours, continued reviewing tasks assigned to its
employees.
● [Human development and training in the workplace]Continued providing its employees with educational programs such as e-learning.
● [Conditions of work and social protection]
Proceeded with diverse work styles including offering annual paid leaves by thehour and accumulating holidays, staggered shifts for child rearing and nursing
care, telework and flextime system.
● [Social dialogue]
Continued having dialogue with labor unions, etc.
● [Health and safety at work]
Under the Business Continuity Plan (BCP), continued inspection, correction, andimprovement, including disaster drills.

● Initiatives toward the Environment
The change in society is even more drastic in terms of environmental
change. In order to curb the effects of our business activities on theenvironment, we will revise our products and our manufacturing anddistribution processes and take initiatives to reduce the burden on theenvironment.

● [Climate change mitigation and adaptation]
Continued propelling a modal shift and hybridization of company cars.
● [Prevention of pollution]
Continued reducing waste and recycling at each and every plant and conducting
energy-saving activities.
● [Sustainable resource use]
Continued managing air conditioning at each department and performing
educational activities through information monitors, etc.
Encouraged waste reduction and plastic reduction in product design.

Corporate Data

Company Name

Common StockGroup Companies

S.T. CORPORATION¥7,065,500,000

S.T. PRO CO., LTD.

Headquarters

Employees (As of March 31, 2020)

S.T. MYCOAL CO., LTD.

1-4-10 Shimo-ochiai, Shinjuku Ward, Tokyo

Consolidated: 1,032

S.T. (Thailand) Co., Ltd.

161-8540 Japan

Non-consolidated: 442

Family Glove Co., Ltd. (Taiwan)

Telephone: +81-3-3367-6111(Excluding part-time and temporary employees)

S.T. Korea Corporation (South Korea)

S.T. Business Support Co., Ltd.

Japan Aroma Laboratory Co., Ltd.
Establishment
August 31, 1948

Listed Stock ExchangeTokyo Stock Exchange, First Section

Shaldan (Thailand) Co., Ltd.
ZETA S.R.L. (Italy)

Fiscal Year-end
March 31

Overview of Communication Tools

Creating Corporate Value Report(Japanese edition / English edition)

Highlights

An easy-to-understand annual report (pdf) on activities
aimed at creating corporate value for all stakeholders.

Corporate Information Website

Corporate Profile

In addition to introducing each of theCompany publications, the Corporate
Information Website is a comprehensive toolthat provides the latest information and an
overview of S.T. CORPORATION to all
stakeholders.

Investors’ Guide(Japanese site / English site)

Overview(Japanese edition / English edition)(Japanese and English compilation)

A compilation and comprehensive tool
overviewing the Company as a whole ina Data Book (pdf) format for the benefit
of investors.

Creating Corporate Value Report
Financial Section(English edition)

Specialized data

Compilation Data Book (pdf) and separate
supplement containing financial data for themost recent fiscal year.

Communication tools are available within the Library section of the Company’s Corporation Information Website.

13

1-4-10 Shimo-ochiai, Shinjuku Ward, Tokyo 161-8540 Japan
https://www.st-c.co.jp/english/
Printed in Japan, September 2020